Texas, US-headquartered multinational communications conglomerate AT&T has signed an agreement to acquire media and entertainment biggie Time Warner Inc. in an $85-billion transaction. The acquisition will give the former access to Time Warner's portfolio of television channels and studios such as HBO, CNN, TNT and Warner Bros. Jeff Bewkes, Time Warner Chairman and CEO, called it "a natural fit between the two companies."
"AT&T Inc. and Time Warner Inc. today announced they have entered into a definitive agreement under which AT&T will acquire Time Warner in a stock-and-cash transaction valued at $107.50 per share. The agreement has been approved unanimously by the boards of directors of both companies," AT&T said in a statement on Saturday.
"It's a great fit, and it creates immediate and long-term value for our shareholders...This is a perfect match for two companies with complementary strengths who can bring a fresh approach to how the media and communications industry works for customers, content creators, distributors and advertisers," Randall Stephenson, AT&T chairman and CEO, said.